The estate planning process doesn’t have to be a burden. Here are four steps to create and maintain an estate plan that will help provide you and your heirs with greater confidence:
1. Take stock. An inventory of your estate—everything you own and owe—will help you make smart decisions about your assets and make things easier and less costly for those people who will one day handle your affairs.
To start, gather and document:
· The value of your home and any other real estate, cars, jewelry, and other personal property
· Recent bank, brokerage, and retirement account statements
· All insurance policies, their cash values, and death benefits
· All liabilities—including mortgages, lines of credit, and other debt
2. Make a plan. Estate settlement rules vary from state to state and can get complex, so it’s best to work with an experienced estate planning attorney when making your plan.
To prepare for your first meeting with your attorney, answer these questions:
· Who do you want to manage your financial affairs if you become incapacitated?
· Who do you want to inherit your assets, and in what proportions?
· Who should be responsible for distributing your assets to your chosen beneficiaries?
· Who do you want to care for your minor children (if applicable)?
· How much is needed for your children’s care and education (if applicable)?
3. Put your plan into action. An estate planning attorney will craft an estate plan that reflects your wishes and meets state and federal laws. This plan will likely consist of a will that directs how your assets will be distributed at death as well as medical and financial powers of attorney documents that spell out who will make financial and health care decisions if you can’t. It also may include trust documents to manage the distribution of certain types of assets.
4. Update your plan regularly. You’ll want to review your plan regularly to ensure that it continues to reflect your wishes. What’s more, tax laws change, and you’ll want to be sure your plan is in line with current estate tax rules and regulations.
Don Daigle
Branch Leader
2184 North 2nd Street
Millville, NJ 08332
856-506-3412
Get Started at schwab.com/vineland-millville
Don Daigle is an Independent Branch Leader and Financial Consultant at Charles Schwab with over 29 years of experience helping clients achieve their financial goals. Some content provided here has been compiled from previously published articles authored by various parties at Schwab.
Information presented is for general informational purposes only and is not intended as personalized advice. Employees of Charles Schwab & Co., Inc. are not estate planning attorneys and cannot offer tax or legal advice, or create and prepare legal documents associated with such plans. Where such advice is necessary or appropriate, please consult a qualified legal or tax advisor.
